Product Evaluation: Subway

Product Evaluation: SUBWAY
Chao Zhao
College of Business and Publics Management
University of La Verne

Abstract The Subway® restaurant chain has been named "Brand of the Year" in the "Quick Service Restaurant" category according to the 2013 Harris Poll EquiTrend® study. ("Subway® named "brand," 2013). So I focus on the Subway with product evaluation. And this research includes three parts. First, I will introduce the Subway Company. Second, I will analyses and evaluate it with 4p’s of marketing and SWOT analysis. At same time, I also show some physical evidence of purchasing in Subway. Lastly, I will make some recommendations to improve Subway to help them achieve more success. Keywords: Product, Price, Place, Promotion, Strength, Weakness.

Introduction Subway is an American restaurantfranchise that primarily sells submarine sandwiches and salads. It is owned and operated by Doctor's Associates, Inc. (DAI). Subway is one of the fastest growing franchises in the world with 39,215restaurants in 102 countries and territories as of April 21,2013. It is the largest single-brand restaurant chain globally and is the second largest restaurant operator globally after Yum! Brands (over 37,000 locations). The history of Subway

Subway was created by Fred DeLuca in 1965. Back in 1965, Fred DeLuca set out to fulfill his dream of becoming a medical doctor. Searching for a way to help pay for his education, a family friend suggested he open a submarine sandwich shop. With a loan of $1,000, the friend—Dr. Peter Buck—offered to become Fred’s partner, and a business relationship was forged that would change the landscape of the fast food industry. The first store was opened in Bridgeport, Connecticut in August, 1965. Then, they set a goal of having 32 stores opened in 10 years. Fred soon learned the basics of running a business, as well as the importance of serving a well-made, high quality product, providing excellent customer service, keeping operating costs low and finding great locations. These early lessons continue to serve as the foundation for successful Subway® restaurants around the world("The history of," 2013). Analysis and Evaluation in 4’P of marketing

Product In Subway, there are submarine sandwiches, cookies, soft drinks, wraps, salads, fruit slices, and yoghurt. At the same time, their menu categories include: Every Day Values, Featured Product, All Sandwiches, Fresh Fit Choices, Breakfast, Fresh Fit for Kids, Salads, and Sides, Drinks& Extra in office online(SUBWAY.com, 2013). The Fresh Fit for Kids, the food is very health for kid, and they also offer kids some toys, such as new Marvel’s Iron Man 3 reusable bags. Therefore, it always attracts many families with kids to buy. Especially, for Every Day Values, Subway offers many different and preferential products every month. For examples, when I had a breakfast on April 4 in Subway, I enjoyed my April Featured Values in the AM with the Bacon, Egg & Cheese, which is the featured $5 Footlong of April. It was so delicious, and made me comfortable and full, I also enjoyed it. After I enjoyed this sandwich, I look forward to enjoying next month’s Featured Values. Their packaging is clear plastic bags with clean paper covered food inside. It is very convenient and easy for customers to go, and open to enjoy their food. Actually, I like their clear plastic bags because they can keep smell from filling in my car, keep them clean wherever I take them. The advantage of Subway is that they allow franchisees to choose their own supplier to save the cost for them and keep food fresh everyday. Price

For their price, all of prices are set by the headquarters of Subway. At the same time, the Subway compared with other franchisee, such as McDonald’s, BurgerKing, Wendy’s, and KFC. The price level of Subway is set at middle level. On the one hand, the Subway can keep them earning nice profits and on the other hand, the middle level can...

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I have chosen SUBWAY® as an Multi-National Company for my assignment. Subway was opened by Fred DeLuca at the age of seventeen in 1965 with the help of a friend, Dr.Peter Buck, who invested $1000 in his first sandwich shop which was named Pete’s Super Submarine which was located in Bridgeport, Connecticut which was meant to fund his dreams of becoming a doctor. He set a goal of having 32 stores in 10 years but by 1964, they had only 16 stores. They realized that they would not be able to reach their goal in time therefore they started franchising their sandwich shop as SUBWAY®. SUBWAY® today is the largest sandwich shop in the world consisting of over 34,000 stores in 97 countries whose aim is to provide their consumers with fast and nutritious meals that are indented for all ages. The company has since grown into a multi-billion dollar business offering over 2 million different sandwich combinations which are served at 2,800 per minute which is equivalent to wrapping around the planet 6 times in a year. ( http://www.subway.com.sg)
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1.1 OBJECTIVE
Objective of this study is to evaluate product process to facilitate maximum product success in fast food industry as before and after implementing the system.
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This study used the case analysis research method. Secondary data were obtained from media reports, homepages of the respective firm and other published sources. It also based on discussions held during lectures, library and with colleague.
1.3 DEFINITION
Relationship marketing is a strategy designed to foster customer loyalty, interaction and as well long-term engagement.
Relationship marketing is designed to develop strong connections with customers by providing them with information directly suited to their needs and interests and by promoting open communication. This approach often results in increased word-of-mouth activity, repeat business and a willingness on the customer’s part to provide information to the organization. The business is done with a strategic orientation, where the relationship is improved with existing customers rather than finding new customers. It is meant to cater to the needs of individual customers. Its major part...

...thinks of after hearing the name “Subway” is healthy food. The Subway brand has brought a revolution in the food industry with its healthy sandwiches & salads.
Brand History:
The founder Fred DeLuca in partnership with Dr. Peter Buck opened a submarine sandwich store in 1965 to fund his education as he wanted to be a doctor. Little did he know that he was destined to create a brand which today has 34218 restaurants spread across 95 countries.
Brand Name:
The founders went for a name that represented the product they were selling instead of looking for a fancy name which can confuse the customers. The name Subway indicates that they sell the submarine sandwiches which makes the customers clear about what they are being offered.
The reasons why Subway is my most preferred brand among fast-food brands available today are
1. I am a health conscious person and perceive Subway as a Health brand.
2. I find it amazing that Subway is available almost everywhere I go and with the same quality of hygiene and with the same variety.
Brand Promise:
The brand promises healthy, widely available submarine sandwiches which is the demand today as people are becoming health conscious and also need something easily available considering their busy routines.
Brand attributes:
i) Clarity of goal: Subway represents only one main...

...﻿
1. PIZZA HUT
Pizza Hut is a global fast food chain, a subsidiary of Yum! Brands Inc., the world’s largest
restaurant company. It was founded in Wichita, Kansas, USA in 1958 and is running its operations in about 91 countries worldwide. It is one of the major competitors of McDonald and Subway. Pizza Hut serves a large variety of starters, soups, salads, sandwiches, Pastas and deserts.
Strategies:-
The strategies at Pizza hut are guided by principles like Cleanliness, Hospitality, Accuracy, Maintenance, Product quality and Speed (CHAMPS). Customer service and satisfaction have of course always been a vital aspect of the strategies.
Problems and Weaknesses:
One of the weaknesses of Pizza hut that it hasn’t overcome yet is its price.
Advantages:
Pizza Hut is often referred to as, “Pizza Innovation Leader” because it is constantly coming up
with new varieties of pizzas to appeal the different audiences and at the same time.
2. KENTUCKY FRIED CHICKEN (KFC):-
KFC, founded and also known as Kentucky Fried Chicken is a chain of
fast food restaurants based in Louisville, Kentucky. KFC has more than
11,000 restaurants in more than 80 countries.
Strategic Objectives:
KFC has the strategic objectives of expansion along with profits and sales growth. KFC has...

...Subway and The Challenges of Franchising in China
Subway's History
Subway's first appear was in 1965, Connecticut, United States[1]. This company was found by Fred DeLuca and Peter Buck in Bridgeport[2]. And it is famous by its foot long and 6 inch submarines sandwiches. Right now, Subway become the world largest submarines sandwich franchise operation mechanism. End of January 1st 2011, Subway have 33,749 branches which exceed McDonald's 32,737 branches became the world largest single brand fast-food franchise chain mechanism[3].
Subway's Development in China
Subway first march to China was in 1995. Right now there are over 1000 branches in China's major cities[4]. Subway first branch was opened in Beijing by Jim Bryant. At beginning, he lost money to a scheming partner and failed to develop other branches. All in all, it was not doing well at the beginning. However, during 10 years development, it became a successful fast food brand in China, and been well known.
Subway in China
Subway decide to open in China need face to many difficulties. The biggest one is how to protect its own intellectual property. In China, there have not formed a perfect intellectual property system yet. For example, KFC and Pizza Hut were the companies take the lead in doing business in China. However, they all struggling in property protection[5]. Since branding is important and can...

...branding some products will cost more. This is because the more popular brands know that people will still buy the product.
Ease of maintenance-
Are the bristles changeable? The toothbrush will last longer if you can change the ends because they get used up quicker. It is cheaper to buy the bristles than the whole toothbrush.
How often will the toothbrush break? When we pay more we expect the toothbrush to last longer.
Means of changing - batteries/charging station. Most people will prefer a rechargeable toothbrush because they will spend less money on batteries later.
Can the surface be easily cleaned? We don’t want to spend too much time on cleaning the product.
Environmental concerns-
Rechargeable will be better for the environment as less waste (batteries) will be disposed.
Are the materials recycled? Can it be recycled after its use? Recycled materials will be cheaper because the manufacturer spends less on the materials.
Are there any toxins (toxic gases) made during manufacture.
Are the materials non-toxic? Is it safe to put it in your mouth?
Market
Niche marketing-
What age group is it made for? Younger people /children will have more colourful designs. The toothbrush will be smaller as their not as big as older people/adults.
Is it top end or bottom end? The branding and a variety of function will often wary the price.
Introduction of new product-
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...﻿1.0 INTRODUCTION
Subway was established in 1965 when 17 year-old Fred DeLuca collaborated with Dr. Peter Buck and opened the first Pete's Subway in Bridgeport, Connecticut. Subway didn't start franchising until 1974, when its first franchise place situated in Wallingford, Connecticut. The international headquarters for Subway Sandwich restaurants and franchises are located in Milford, Connecticut ( Retailindustry.about.com , 1965)
Presently, the SUBWAY® brand is the well-known submarine sandwich chain with more than 34,000 places around the countries. SUBWAY has become one of the most attractive restaurants for people who want a balanced diet. From early stages, Fred has had the correct goals for his SUBWAY Company. As they improved in their business, they were inspired by his great effort to satisfy customers by serving healthy and fast meals. ( Retailindustry.about.com , 1965)
Vision:
“Be the #1 Quick Service Restaurant (QSR) franchise in the world, while delivering fresh, delicious sandwiches and an exceptional experience” (Source: Retailindustry.about.com , 1965)
Mission
Delight every customer so they want to tell their friends – with great value through fresh,
delicious, made-to-order sandwiches, and an exceptional experience.
( Source: Retailindustry.about.com , 1965)
(Source: Ysn.com ,2012) ...

...Subway Sandwiches
Although sub and sandwich shops offer some of the best growth opportunities in fast food today, there are signs that the category is not what is use to be. Subway's rapid growth in recent years put sub sandwiches on the fast-food map and served to attract tremendous attention as well as investment dollars into this category. In part due to the increased competition, fewer operations and franchise prospects today view that name-brand sub shop as the easy way to success, compared with a couple of years ago. Subway's growth in recent years is due in part to popular menu innovations, including new breads and new sauces. But a chunk of the credit goes to a wildly successful marketing campaign that the company nearly missed.
In the late 1990s, Subway founder Fred DeLuca noticed a spike in sales at restaurants around Houston. The reason: a local ad agency had noticed seven sandwiches on the menu with a relatively low 6 grams of fat or less, and built an ad campaign called "7 under 6." The message worked, and the chain eventually rolled the concept out nationwide, positioning Subway as the healthful alternative to burgers and fries. "And then," DeLuca said, "Jared comes along."
Jared Fogle, a college student who had been overweight most of his life, noticed the 7 Under 6 campaign and shed 245 pounds sticking to a diet made up primarily of low-fat Subway sandwiches. In 1999, Fogle's mother wrote DeLuca...